The extra $475 a year you'll pay for Obamacare that Obama didn't mention

The National Federation of Independent Businesses projects the health-insurance tax will add an additional $475 per year for the average individually purchased family policy—nearly $5,000 over the course of a decade. Small businesses will take an even bigger hit, with the cost of an employer-provided family policy rising a projected $6,800 in the next decade.

Gee, did President Barack Obama forget to mention this little noticed tax during his "victory lap" in the Rose Garden when Obamacare allegedly hit the 7-million mark for signups?

Oops, must have forgot about it. Or he's so ignorant about what his "signature healthcare" legislation (deceptively called the Patient Protection and Affordable Care Act) actually does, that he might not even be aware of this tax that's buried in the thousands of page of the law. Just like he said you could keep your doctor.

It tax is fully described here (subscription might be required) in a Wall Street Journal piece by Bernie Marcus, co-founder and former chairman and CEO of Home Depot, is founder of the Job Creators Network.

Consider the "fee"—really a hidden sales tax—that all health-insurance companies have been forced to pay since the first of this year on premiums for policies sold to individuals and small and medium-size businesses. The health-insurance tax—known as HIT in business circles—is expected to generate revenues of about $8 billion this year and as much as $14.3 billion by 2018, according to the legislation.

The Congressional Budget Office and the Joint Committee on Taxation predict that insurance companies will pass the cost on to customers, as any company subject to such a tax would. In other words, millions of Americans lucky enough to keep their current health insurance under ObamaCare will be paying much higher premiums because of this tax, with the added cost rippling through the economy and stifling job creation.

What was America's greatest come-from-behind war? Go here to find out.

To subscribe to The Barbershop, type your email address in the box and click the "create subscription" button. My list is completely spam free, and you can opt out at any time.

Comments

Leave a comment
  • I suppose you know that your point this out makes you mean, because you want to take peoples health insurance away and it makes you racist.

    Politicians of both stripes, not to mention the insurance companies, have too much invested in ObamaCare now to ever admit the smothering effect it will have on the US going foreward.

    It will never be repealed, but, like the government schools, only "fixed".

  • Wow, what a surprise! A conservative billionaire complaining about paying a little more money so his employees can have adequate affordable health care.

  • In reply to Aquinas wired:

    Considering no employer has to offer health insurance, I think that any offer by an employer is generous. Let's see how generous the government will be with healthcare coverage when the incoming revenue does not match the outgoing expenses, which is already.

    And the billionaire is not going to pay more for the coverage; you are just going to pay more for your nuts and bolts and more jobs will become mechanized to reduce costs, as a robot needs servicing but not a mandated government health insurance policy. You didn't teach economics, I take it.

  • I don't care what ACA cost me. Honestly, to have universal healthcare, I'd pay whatever because the people I know and love (and even the people I don't) are worth it.

    Signed,
    A healthy, privately insured person

  • fb_avatar
    In reply to Jenna Karvunidis:

    So you don't care what the "Affordable Care Act" costs? If it costs more, by definition it isn't "affordable" is it?

  • In reply to Wayne Driscoll:

    $500 a year is plenty affordable. That's not even $2 a day. That is nothing compared to the devastating costs of healthcare to many people.

    Let's see, I could have a Starbucks four times a week or everyone in the States has health insurance. I pick B.

  • In reply to Jenna Karvunidis:

    But not everyone is going to have healthcare. Only 7 million of the 45 million they were concerned about.

  • In reply to Jenna Karvunidis:

    Where your $500 a year come from? Unemployed can't even afford that

  • In reply to Jenna Karvunidis:

    'I don't care what ACA cost me.'......that is absolute rubbish. How is that rational? Statements like that throw all authentic discourse out the window. There are a lot of moral hazards in this law, including who, why and how it has been implemented and where it's going.

    Signed,
    Na-nanny-boo-boo

  • In reply to 4zen:

    eHealth reports Ocare has raised premiums 39% on average for individuals and 56% for families, not including doubled/tripled deductibles, not including all the new taxes. Up more than the previous 8 years before it.

    'The road to Hades is paved.... forget it.

  • In reply to 4zen:

    And what is the Republican health plan? They're the ones who are doing the paving.

  • In reply to Aquinas wired:

    Aquinas, I'm not arguing for Republicans., I just said that on your blog. I'm arguing for good policy. You are worshiping false idols and cannot be objective.

  • All I can say is I am a Small Business owner who pays for all of my own health insurance and do to a pre-existing condition (High Blood Pressure) I had to stay with the same insurance company because all other insurers would only accept me with a large increase in my premium and I already was paying $1956 (Which had gone up more than $200 per year because they thought they had me locked in because of my condition.) per Quarter for insurance. Since Obamacare, I was able to switch to a plan with better coverage (decreased my medication bill each month over $160) than I had. I was able to keep all my doctors and I am now paying $1534(including dental) per quarter which is a $418 pre quarter savings and a $1672 per year savings.(Savings well in excess of this so called tax.) Since there is not a pre existing condition situation any longer, I can shop new policies at any time and get the best price. I think someone once told me that was called market competition and it keeps prices down. I also have an employee that was not able to afford health insurance before Obamacare. So right here I see multiple benefits of having Obamacare. Before you start criticizing, maybe you should look at what the alternatives have been and what previous administrations did about skyrocketing healthcare costs that were strangling the lower middle class (a group of which I call myself) Has what Obama done been perfect? No, BUT it is soooo much more than anyone else has been able to do in this area for a very very very long time. Someone else told me "Put up or shut up" You only get to criticize if you have a better solution and can actually get it implemented. Hmmmmm.

  • How come everyone who thinks the ACA is a great program and has private insurance does not quit their private insurance and sign up for the ACA?

  • In reply to wings9798:

    Wings, if you look into ACA a little more you may discover that it IS private insurance!

Leave a comment

  • ChicagoNow is full of win

    Welcome to ChicagoNow.

    Meet our bloggers,
    post comments, or
    pitch your blog idea.

  • Advertisement:
  • Subscribe to The Barbershop

    Enter your email address:

    Delivered by FeedBurner

  • Dennis Byrne’s Facebook Fan Page

  • Like me on Facebook

  • google-site-verification: googlefdc32e3d5108044f.html
  • Meet The Blogger

    Dennis Byrne

    Chicago Tribune contributing op-ed columnist and author of forthcoming historical novel, "Madness: The War of 1812." Reporter, editor and columnist for Chicago Sun-Times and Chicago Daily News. Freelance writer and editor.

  • Our National Debt

  • Twitter

  • Categories

  • Tags

  • Recent Comments

  • Monthly Archives

  • /Users/dennisby/Desktop/trailer.mp4
  • Latest on ChicagoNow

  • Advertisement:
  • Fresh Chicago News